Limit Online Gambling to Physical Casino Premises

Permit online gambling only when the patron is physically present inside a licensed in-state casino.

What it does: Prohibits remote online gambling from homes, workplaces, dorms, bars, and other off-casino locations. A licensed physical casino may offer an online or mobile gambling interface only to patrons who are physically present inside approved casino premises.

State Precedents

Notes to Drafters

Draft Bill Text

CASPR is available for legal and technical support adapting this bill to specific state contexts.

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A BILL FOR AN ACT

RELATING TO ONLINE GAMBLING; LIMITING ONLINE GAMBLING TO PATRONS PHYSICALLY
PRESENT INSIDE LICENSED IN-STATE CASINO PREMISES; PROHIBITING REMOTE ONLINE
GAMBLING; REQUIRING PREMISES-BASED GEOLOCATION CONTROLS; REGULATING OPERATORS,
VENDORS, ADVERTISING, ENFORCEMENT, AND TRANSITION; AND PROVIDING AN EFFECTIVE
DATE.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF [STATE]:

SECTION 1. SHORT TITLE.
This Act may be cited as the "On-Premises Online Gambling Limitation Act".

SECTION 2. LEGISLATIVE FINDINGS AND PURPOSE.
The Legislature finds that:
  (1) Remote online gambling creates continuous access to gambling products from homes,
      workplaces, schools, and other private or everyday settings.
  (2) If this State permits an online or mobile gambling interface, access should be limited to
      patrons who are physically present inside a licensed casino where in-person safeguards,
      surveillance, security, exclusion enforcement, and regulatory inspection are available.
  (3) A casino-premises limitation permits account-based and mobile technology as an on-premises
      casino amenity without authorizing statewide remote gambling.
  (4) The purpose of this Act is to prohibit remote online gambling and to require casino-premises
      geolocation before a patron may log in, deposit, or place an online wager.

SECTION 3. DEFINITIONS.
In this Act:
  (1) "Commission" means the [STATE GAMING COMMISSION] or successor agency.
  (2) "Online gambling" means accepting or facilitating wagers over the internet, a mobile
      application, wireless network, electronic device, account-based system, or other interactive
      digital channel on sports wagering, casino-style games, poker, table games, slot-machine-style
      games, or any other wagering product authorized by [STATE LAW]. The term does not include
      [STATE LOTTERY PRODUCTS], pari-mutuel account wagering, or fantasy contests unless expressly
      included by [STATE LAW].
  (3) "Licensed casino" means a casino, racetrack casino, tribal casino facility operating under
      a tribal-state compact, historic resort hotel gaming facility, or comparable in-state gaming
      facility that is licensed or otherwise authorized under [STATE LAW] to conduct in-person
      casino gaming or sports wagering at a physical premises in this State.
  (4) "Approved casino premises" means the interior area of a Licensed casino approved by the
      Commission for Online gambling, which shall be limited to the casino gaming floor and any
      other specifically approved interior gaming area. The term does not include hotel rooms,
      parking areas, sidewalks, restaurants, retail areas, conference space, or other non-gaming
      areas unless expressly authorized by this Act or another statute.
  (5) "Operator" means a Licensed casino authorized by the Commission to conduct Online gambling
      under this Act.
  (6) "Platform provider" means a person that provides an Online gambling platform, technology,
      risk management, trading, account management, marketing, or operational services to an
      Operator.
  (7) "Patron" means an individual who opens or uses an account, device, kiosk, or other interface
      to participate in Online gambling.
  (8) "Premises geolocation system" means a technical and operational control system that verifies
      whether a Patron is physically present inside Approved casino premises.

SECTION 4. ONLINE GAMBLING LIMITED TO APPROVED CASINO PREMISES.
  (a) Remote online gambling prohibited. A person shall not offer, advertise, accept, process, or
      facilitate Online gambling in this State unless the Patron is physically present inside
      Approved casino premises at the time of each deposit and each wager.

  (b) No off-premises wagers. An Operator shall not accept an Online gambling wager from a Patron
      located outside Approved casino premises.

  (c) No statewide mobile gambling. A license, permit, contract, skin, platform approval, vendor
      registration, or other authorization shall not be construed to permit Online gambling from
      homes, workplaces, schools, dormitories, bars, restaurants, hotels, public spaces, or any
      other location outside Approved casino premises.

  (d) Account access outside premises. An Operator may permit a Patron located outside Approved
      casino premises to withdraw funds, close an account, obtain account records, manage privacy
      settings, or access responsible-gambling tools, but shall not permit deposits, wagers,
      promotional opt-ins, or gambling play outside Approved casino premises.

SECTION 5. ELIGIBLE OPERATORS; VENDOR RESPONSIBILITY.
  (a) Eligible license holders. The Commission may authorize Online gambling only for a Licensed
      casino that remains in good standing.

  (b) Vendor use permitted. An Operator may contract with a Platform provider to supply technology
      or operational services only if the Platform provider is licensed or registered by the
      Commission and the contract is approved by the Commission.

  (c) Operator remains responsible. The Operator is responsible for all Online gambling conducted
      under its authorization, including:
        (1) patron identity, age, and location verification;
        (2) protection of patron funds;
        (3) internal controls and audit logs;
        (4) responsible-gambling controls;
        (5) marketing and affiliate conduct;
        (6) data security and privacy; and
        (7) compliance by Platform providers, affiliates, contractors, and subcontractors.

SECTION 6. PREMISES GEOLOCATION AND SESSION CONTROLS.
  (a) Geolocation required. An Operator shall deploy a Premises geolocation system approved by
      the Commission.

  (b) Required checks. The Premises geolocation system shall verify that the Patron is physically
      present inside Approved casino premises:
        (1) before enabling gambling play in a session;
        (2) before each deposit;
        (3) before each wager is accepted;
        (4) at least every [60] seconds during an active gambling session; and
        (5) whenever signals indicate that the Patron may have left Approved casino premises.

  (c) Suspension when location fails. If the Operator cannot verify that a Patron is physically
      present inside Approved casino premises, the Operator shall immediately block deposits and
      wagers, suspend gambling play, and permit only withdrawal, account closure, account records,
      and responsible-gambling functions.

  (d) Anti-evasion controls. An Operator shall maintain controls reasonably designed to detect
      and block spoofing, remote desktop access, virtual private networks, relay devices, signal
      manipulation, account sharing, and other attempts to evade premises-location requirements.

  (e) Records. An Operator shall maintain auditable records of location checks, failed checks,
      blocked wagers, geofence settings, system changes, vendor performance, and incidents.

SECTION 7. FACILITY AND EQUIPMENT REQUIREMENTS.
  (a) Casino-controlled operation. Core wagering servers, transaction records, and personnel
      directly engaged in conduct of Online gambling shall be located in a restricted area on the
      premises of the Licensed casino or another secure in-state facility approved by the
      Commission and controlled by the Operator.

  (b) Regulatory access. The Commission shall have immediate access to the restricted area,
      systems, records, and personnel necessary to inspect and audit Online gambling operations.

  (c) Approved device or network. The Commission may require Online gambling to occur only on
      casino-issued devices, approved kiosks, approved tablets, a casino-controlled wireless
      network, or other approved systems if necessary to enforce the premises limitation.

SECTION 8. ADVERTISING AND PATRON DISCLOSURES.
  (a) No remote-play advertising. An Operator shall not advertise Online gambling as available
      outside Approved casino premises or use language implying that Patrons may gamble remotely.

  (b) Required disclosure. Each advertisement, registration screen, deposit screen, and wagering
      interface shall state clearly that Online gambling is permitted only while the Patron is
      physically present inside Approved casino premises.

  (c) No inducement to travel for high-risk patrons. Nothing in this Act authorizes an Operator
      to use inducements, targeted marketing, or reactivation offers directed at self-excluded,
      suspended, or high-risk Patrons.

SECTION 9. RELATION TO OTHER CONSUMER PROTECTIONS.
Nothing in this Act limits the Commission's authority or the Legislature's authority to impose
stricter public-health, consumer-protection, advertising, payment, loss-limit, self-exclusion,
or responsible-gambling requirements on Online gambling.

SECTION 10. ENFORCEMENT; PENALTIES; RULEMAKING.
  (a) A violation of this Act or a rule adopted under this Act constitutes grounds for license
      discipline, including suspension, revocation, refusal to renew, conditions, and civil
      penalties.

  (b) The Commission may impose a civil penalty of up to [$100,000] for each violation. Each
      wager accepted from a Patron outside Approved casino premises constitutes a separate
      violation.

  (c) The Attorney General may bring an action to enjoin unauthorized remote Online gambling in
      this State and may seek civil penalties, disgorgement, restitution, costs, and reasonable
      attorney fees.

  (d) The Commission shall adopt rules to implement this Act, including rules governing:
        (1) Approved casino premises and geofence boundaries;
        (2) Premises geolocation system approval and testing;
        (3) Platform provider licensing or registration;
        (4) internal controls and audit logs;
        (5) advertising and disclosures;
        (6) incident reporting; and
        (7) transition procedures for existing operators, if any.

SECTION 11. TRANSITION.
  (a) A person offering Online gambling in this State on the effective date of this Act shall
      cease accepting deposits and wagers from Patrons outside Approved casino premises not later
      than [180] days after the effective date.

  (b) Nothing in this section authorizes continued operation by a person that was not lawfully
      authorized to offer Online gambling before the effective date of this Act.

SECTION 12. SEVERABILITY.
If any provision of this Act or its application is held invalid, the invalidity does not affect
other provisions or applications of this Act that can be given effect without the invalid
provision or application.

SECTION 13. EFFECTIVE DATE.
This Act takes effect on [DATE].